How can organizations effectively apply risk assessment in project management?

Organizations can effectively apply risk assessment in project management by identifying potential project risks early. Early identification allows teams to analyze and evaluate risks before they become significant issues, facilitating better planning and mitigation strategies. This proactive approach enables project managers to allocate resources efficiently, implement preventive measures, and develop contingency plans to address potential problems, ultimately increasing the chances of project success.

The other options do not contribute to effective risk assessment in the same way. Hiring more project managers might increase oversight but does not inherently improve risk identification or management if the processes are not in place. Reducing project scope can limit risk exposure; however, it does not address the fundamental issue of identifying risks in the first place. Ignoring past risks neglects valuable lessons learned that could inform future projects and lead to repeated mistakes.